July 28, Colombo (LNW): Sri Lanka’s Association of Primary Dealers (APD) has taken steps to strengthen financial literacy and foster informed dialogue across the financial sector by hosting a high-level forum focused on the implications of recent legislative and operational changes in public debt management.
At the heart of the discussions was the implementation of the Public Debt Management Act No. 33 of 2024, a pivotal reform that formally shifts the authority for issuing debt securities from the Central Bank to the Treasury.
This restructuring is seen as a transformative step towards enhancing the credibility, transparency, and accountability of Sri Lanka’s public debt framework.
Speaking at the forum, Romesh Gomez, President of the Association of Primary Dealers, described the new legislation as a “milestone reform” that lays the groundwork for a more resilient and strategically guided debt management system.
He emphasised the importance of aligning market practices with national objectives for fiscal stability, especially in the context of a more volatile global economic environment.
Legal perspectives were offered by President’s Counsel Harsha Fernando, who provided a comprehensive analysis of the law’s expected impact on government securities markets and the role of financial intermediaries.
Other key speakers included Udeni Udugahapattuwa, Director General of the newly formed Public Debt Management Office, N D Y C Weerasinghe, Superintendent of Public Debt at the Central Bank of Sri Lanka, and Naomal Goonewardena, Precedent Partner at legal firm Nithya Partners.
The forum drew attention to several critical reforms introduced under the Act, including the introduction of a five-year rolling debt strategy, a legally binding requirement for structured borrowing plans, and the mandatory publication of terms and guarantees associated with government debt.
These measures are intended to strengthen governance, improve market confidence, and reduce fiscal risk through greater transparency and long-term planning.
Attendees included representatives from a broad range of financial institutions, including commercial banks, insurance providers, finance companies, and asset managers, along with officials from regulatory bodies such as the Colombo Stock Exchange and the Securities and Exchange Commission.
Gomez reaffirmed the Association’s commitment to promoting knowledge-sharing initiatives, noting that forums such as this serve a vital role in cultivating a more informed, collaborative, and accountable financial ecosystem. He also stressed the importance of industry-wide cooperation in realising the objectives of the reform, particularly in building a more sophisticated and sustainable capital market in Sri Lanka.
